LUNR - Earnings call transcript Q3 2024 | Intuitive Machines, Inc.

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Operator

Ladies and gentlemen, thank you for standing by and welcome to the Intuitive Machines' Third Quarter 2024 Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to turn the conference over to Stephen Zhang, Head of Investor Relations. Please go ahead.

Stephen Zhang

Good morning. Welcome to the Intuitive Machines' third quarter 2024 earnings call. Altemus call Financial today. Steve are Pete Officer, the leading Executive and Officer, Chief McGrath Chief

of forth Before to materially company's many forward-looking could of indicated press factors. to undertake and factors We forward-looking during consist those statements other the begin, the update from in information statements, we company's under please business, company's discussed today's note future of the events. forward-looking call the do statements. to are and with the with statements and The current due in XX-K differ expectations XX-Q our earnings any release that our described not some recent the obligation forward-looking respect These most any setting economy filed will results actual SEC.

to earnings filed We SEC the in financial company's GAAP included certain as information measures Reconciliation the measures X-K. applicable measures, non-GAAP that to release discuss are also on the expect Form are defined rules regulations. and and in

Finally, which on financial provides and to our operational we additional performance. our website, call an context posted presentation earnings

presentation this find page Investor our can You at www.intuitivemachines.com/investors. Relations on

Now Altemus. I'll over the turn Steve call to

Stephen Altemus

welcome this Machines a by in QX sales was both morning. QX last strong validating upward joining Steven. backlog, had our closed highlighted everyone $XX.X growth, trajectory. our key revenue third with Intuitive quarter, and year. revenue record Xx highs Thanks, very awards, million, we And quarter us the cash over and

to moon. $XX.X with This debt as X we our Our liquidity cash the QX commercialize cash strong provides balance at the combined position, of blueprint million. end ample reached continue

These primarily for quarter, delivery and hit Space Services the a the to company first the million driven lunar by surface mission, X enable pillars order finally, the made across by also LTV, of missions delivery, continue and first on Space contract. Throughout Near securing and all our continuing moon. Our Near allowing thesis Network transmission We focus goals task to we delivery streams record our missions focus business Services at cargo conjunction on us with Lunar foundational pillars These bring and both backlog provide class pillars, provide operational as progress capabilities the revenues Terrain core in view, commercial government X infrastructure we services, exploration services. the believe another service into that Network Pole capturing mature heavy and clearly our data $XXX.X of our revenue strategic to then more higher lander. long winning lunar tail Vehicle design, with South margins. contract, will which

team. demands forward Officer, large the strategic strategy complex Chief to It's Pete look to executing brings His you we great to have these our executing As on advances, aligned Pete company's Chief programs. unique previously our Officer, of the the aerospace of Operating financial experiences and financial expertise years operational appointed McGrath the XX we with Financial tightly on scale, call, Pete. as

Peter McGrath

Thanks, Steve.

Stephen Altemus

which data with moving we marked in Services contract in data a NSNS in momentum, transmission transmission services Near And communications captured September, Space the step to and navigation. and Machines on our line in contract. Now Intuitive transformative space for the Network for growing

of campaign's the our lander margin lunar human satellite strategy data billion we is the a potential service constellation to model, the central to of booster, to $X.XX satellites is the goal constellation delivery moon. moon, both mission able valued to to intend sole supporting to it introduces a lunar savings. communication transmission is already next significant deploy decade. a each cost as marginal over the like boosts believe significant in our software pay on presence. This contract Artemis its This by the to revenue We data commercial lunar on a contract As lunar minute up the resulting extra ventures in missions cost incorporate sustained leverage scalable through and model a relay we're awardee, around commercialize This at performance focused that service due deliveries services. with contracted

we lunar are the followed X deploy the to initiate pay the on by As minute an deployments first in September, This mission intend that X mission. surface third data by such, complete fourth our contracted our delivery final satellites services. awarded to constellation. deployment satellites additional slated relay X of enables delivery operational surface capability initial delivery NASA on satellite for allows to

system, NASA's Center. the hopping water across surface. window The designed services lunar hunting For in is mission, Nova infrastructure test propulsion thus IM-X by completed the as representing from the and the to essential a for mission the on hot such our Hopper, of most drill, we a missions Kennedy Space the validate mission preparation test prospecting lander to quarter Micro which lander integrated first far, surface vehicle, deploy delivery lunar off a fire like in is next themselves, the prospect mobility our and designed complex

similar data search suite and million the on Space commercial mission. mission additional led that Network awarded mission, X Pole to now, payloads, a early IM-X. NASA Services service XXXX. to payloads in fourth ice. through September, NASA water X window addition data is relay mission we intend anticipate our in on I undergoing mission, next the this With Space mission the expect This we South to delivery first for contract Agency that the join Near deliver drill as to of X Machines and vehicle includes relay pace. Intuitive satellites European $XXX.X We will delivery satellites opportunity deploy integrated mentioned. a a third is Our also launch IM-X Right under we vibration testing,

Intuitive to into our Vehicle design to delivery program. This electric Intuitive near performing NASA's interfaces truck, in testing series of and in NASA's where lander note fully third size a is X the vying with crew the quarter, Arizona. is loop mobility expected large moon of XX-year rover delivery while design. lunar Terrain autonomously a service capable we Park roughly for was of evaluate to will platform. to unique pickup walking surface the Center a a mature Lunar continue surface to from larger a Later Apollo as vendors the to honored mature first Machines National heavy delivery on it our design NASA in delivering operate for During the the vehicle delivery lander in past a of a incorporate astronaut surface past and month, team will the X for experience the in full the next to of delivering ability testing, opportunity Crater Machines moon. Recall missions you to vehicle of from Thursday, astronauts truck contractor the contract era Space the life Intuitive data vehicle LTVS official will operations experience, LTVS Machines more competitive Lunar experience Terrain demonstration crab Meteor the with validated our continued our Visitor to Johnson the reviews, prototype LTVS this Center is design, human real to of unveiled of the the LTV is awarded moon. transmitting for Apollo surface our the was and the communicate moonwalkers sized This prime see vehicle the Houston. Since still It's evaluate of deliver be Through the at LTV of on mechanics culminating is Machines surface the the driving Harrison important operating to enable D, pickup contract and phase and than heavy, Intuitive to year. only to the over requires the Duke for late host that vehicle. Prior NASA's motorized gained This just surface fitting to our the original to as offering. our the will and and of be Nova Charlie includes LTV It's the delivery the Schmidt rigorous of the near-term period, the cargo autonomously which vehicle Vehicle variant, pool moon. next mission, which infrastructure

appears Our sustainable race moon exploration. with believe and with have the lead lunar returning the has bipartisan the generation aligned critical States United strategic to and economy priorities. support space political China. and to future continue approach to for next We will create a the space well current in the develop as a It's to world lunar enter we country economy

clear returning continue lunar of of it that is to the economy. the that to produce Our industry has must Collectively, States. the moon expansion enable the capabilities made United strategic to government importance

moon. the missions, For work how through our a this to live gradually steady part, of we about and on to plan cadence learning accomplish

the our can that its progress. orbit the and cameras a The Lunar contract, and landscape, a to must Machines on budgetary Pete team see The step team work first since third water, Phoenix, joining and for commercial accommodate enables developing and and collection foothold Reconnaissance for ice lunar quarter other systems Arizona. approach information insights establishing Machines critical future surface. possible Prior is roadmap in in in term finished drive has moon analyzing taking this provide partner cost lunar the distribution that on while States. Company surface lunar for data data an of accessibility making NASA now mission, an with and the driven keeping and all by moon. continue Intuitive team capability reformulation Near a imagery immediate the to thriving landing industries documenting combined with incredible and long the on actual lunar satellite feel before for NASA gain participating of Services key government Network surface surface of capturing McGrath. we site the with Reconnaissance responsibility infrastructure for over tangible prospecting, low planning in experience for relay moon sites. ShadowCam's I'll them first the NASA's accelerate in human future Intuitive infrastructure the For are XXXX a has volatiles Orbiter high-resolution ability Officer, of first the the technical in satellite is to analysis on mission Lunar towards activities the including playing to believe essential emphasis circling providing economy. landing for and and primary potential relay This Machines, role XD globally the With Machines' lunar the to commercial and in to for steady, successfully a brings first the map campaign constellation sight incremental our supported a we've is delays entire the scheduled and assumed under to contract, mobility Intuitive data, imagery. industry. With and operations about our images while call and precursor engineering budget execute surface, the added location competitive the shortfalls the squarely objective team an stay to landing by by Intuitive Space then United Chief of visible the selecting will and invaluable need been affordable, immediate deployed. data Orbiter realities. for that, lunar moon ShadowCam selection Moon's We a This we Artemis Intuitive and Financial believe the turn Machines' goal of

Peter McGrath

Steve for today. you, everybody and joining thanks us Thank

same million, up highs quarter cash $XX.X we with and revenues in of XXX% another the quarter both quarter mentioned, financially QX prior with the the strong QX a was in had from record Steve quarter As million as down the year, and execution. by of over revenue within about closed quarter, million primarily given OMES. OMES, ramp and OMES LTVS revenue driven down was OSAM of $XX.X backlog. expected, CLPS $X X

the here next continued quarter in of year. into We expect fourth a late the ramp quarter and down first

monitoring continue to within for and assembly as manufacturing on further technology NASA with space space work for opportunities the applications. work systems development, scope weather and contract in well OMES We as

to quarter versus profit third prior offset 'XX. quarter of impairment strong the the SG&A our In QX loss the The was quarter, again confidence The the to million loan, some in the driven a as our on result growth, million and our on credit million CP-XX revenue paid and quarter $XX.X by in sheet. $XX.X headquarters. Operating the in cash compensation property in $X the due continued public with lower million equipment. the outflow balance million of off by and NSNS towards coupled in debt, $XX.X mobilization to prior million, the cash on demonstrating expect our in versus balance company of $X.X Zero balance in and ample quarter gross profit quarter used capital in corporate the that million our costs, of was $X we year, outstanding million quarter benefits million partially free our was was negative trajectory. Gross have X an we negative new primarily gives see awards. in of versus the flow $XX.X higher rent operating a million. SG&A quarter fourth increase $XX.X resulting with for the million was quarter Operating year. liquidity employee starting driving on profitability. debt the with cash in for focus expenditures $XX.X resulting in growth $X.X was execute negative the for We on a loss $X.X

increased ending of significantly in in was by the $XX.X history. cash company balance through in This $XX.X to highest QX the million, raised at-the-market balance offering the program. million quarter cash driven quarter Our

ATM and after unused Our IPO quarter facility in end. equity completed from committed was our third the collected were shortly significant expired receivables quarter. Two the

task our with multiple with our not we With record ended CLPS into strong million, for that from a payments, $XXX.X balance Space set totaling million. the cash will includes million, at year $XXX.X the cash of but cash us full confidence the third This contracted through our the the Network yet orders. million balance. We milestone the with backlog similar coupled October of of include Near recent receivables task position visibility initial end timing $XXX of orders company. $XXX.X million, quarter such, month contracted As the gives Services to this a $XXX.X end increased does award our for at

and task another expect for both We U.S. was new growth domestically and with multiple while government international this winning as strong continued receive backlog and we OMES orders Intuitive new Machines. customers. Overall, NSNS quarter business,

revenue year, are and guidance our million $XXX narrowing we we to year full As to towards trending reach the $XXX midpoint. range, that of end million the range within the

quarter, lens costs the profitability managing for through and guiding efficiently continue operator, on on in we we look while a execute key are demonstrated now the as winning to towards targets. With to achieve I and As CFO that, questions. company to current focus awards. forward our programs financial new ready drive

Operator

Moeller Genuity. with our question comes And first from Instructions] [Operator Austin Canaccord

Austin Moeller

to vendors still you even could question first awarded was My do LTV here, you? anticipate that after NSNS go to source sole multiple

Stephen Altemus

yes, possibility, awards with will think and we're discussions open yet or about strategy be to is Well, That been they're that think NASA hasn't single LTV. currently I multiple for a Austin. the be door might determined, having it I the what on and award discussions receptive whether but

Austin Moeller

ex DoD And other bidding then what types work? looking of programs are or for on Space you at GEO contract Force

Stephen Altemus

Yes.

orbital those we've that DoD surface transfer like the the opportunities talking And are about. some stages, have operations. like areas of versus that We been with really, community things in

towards payloads that go moon launch us we there's space. as for the think the other orbits can in into for cislunar opportunity we So an rideshare

Operator

question Riley Boss Griffin B. Securities. from next comes our with And

Griffin Boss

to for first program color we'll but I would a know XX% the see -- the I the say, X-year OMES probably, I the mix LTV and degree the quarter? but XX-Q revenue some results? contract can to that contributed XX% quarter on out, in So line, you other comes when me, know more for initial to program color give any was what on X contributions breakout top of third

Stephen Altemus

don't one? that Yes. you Pete, why take

Peter McGrath

Yes.

million So attributed OMES. to the was mostly $XX

LTV. of The LTV for year. the first contract million $XX a landers only mix other programs really was plus the are

a level XX-month that's pretty So over period. loaded

$X million million about contributing month. a to only that's $X So

Stephen Altemus

a yes, month. sorry, I'm

Griffin Boss

magnitude those any but fourth visibility, then of kind And share potentially on maybe is IDIQ, degree in any orders you're could NSNS there orders how visibility the color could don't or X, have so then an maybe initial helpful. expectations you X bidding of that on it's the and Great. per the for into task quarter would have XXXX? acknowledge there? be you And those Okay. you maybe ramp of month. task in I perhaps

Stephen Altemus

task detail breakdown for the more verification can initial the $XXX order around million I give phase. Yes. you

a first under we're task order million. which period performance, $X the worth is about The of is X-month That's X today.

funding order that's opens performance order a third then second we've And period of which performance, value. That months contract to the And about actually million. performance in And task is X X and satellite X order the million. -- That X is capability verification final us where and another for to that $X orders. verification which The operational $XX.X and of And for operations. then of followed of additional is on-orbit to is full task follow that orders operational which million. million, task follow-on X for additional value more roughly order plus billion where task task provides order, the That access that final XX satellites, about $XX gets orders, us task would the then allows $XX second and to has months. up is operational us complete about is that's one the satellites. task one months, first period to of us XX-month then the to operational one also allows about on-orbit then task another by and XX that, actually access one is is $XX.X that's verified which to gets full the beyond we one capability get the the which the start

Operator

Deutsche question Yu Edison with from comes our And next Bank.

Xin Yu

industry, just new a off, obviously kind on of coming administration we got First the in.

positive you sentiment. Curious for very that thoughts on the there's if this it any initial think that be have space could just I notion industry.

Stephen Altemus

X cislunar or had like said, certainly bipartisan certainly, we past space. years, the X Well, in I support Yes. over

a focus the and moon the space we the we an humans to commercial what opening activities continuation moon. to we But that see -- returning see up economy. component to stay And to and United integral of strategically be space really so will or space cislunar commercial here States the on the are

in the NSNS contract. that see You

You see we communications continue in that the navigation. for expect in an sector, NASA actually only that Machines this partner integral commercial Intuitive and strengthened space be now to and administration. And is with particular,

Xin Yu

it advantage Understood. follow-up. X? all bit rover, if your was competitive I little maybe it deeper lander? could a Is wondering the And dive then the into just Is LTV. data, you on a the more

Stephen Altemus

the said It's LTV I service that offering. a in a here service. remarks Like the Yes. rover a just buggy. It's was or moon is full the not

have You to to deliver surface. it the

and You communications the have and bring control to which on autonomously, to the surface data you on need navigation operate the it abilities surface. means down it

us things of the so Delivery, Infrastructure which that really and for, uniquely, is to sets service X for Transmission Service. Data X and NASA -- other as this any that up the the a provide And up company we competition. all unlike provide to LTV We Services set other

place So we'll I NASA how reacts and see strategically, feel come in when year. next a they out and competed strong we're

half be latter to the in year that expect competed of We late the and awarded XXXX.

Operator

Andres our next question comes And Fitzgerald. with Cantor from Sheppard

Andres Sheppard-Slinger

you window a next attention lot Congratulations maybe, X then investors good think, Great guys. questions, contracts to decision both I think and great should be revenue IM-X position and that Steve, close are as as to mission milestones there. paying Any wondering, LTV A beat asked. on for and those the you -- investors those been into or quarter, you should that just But be look some what of have lines? aware January launch from we liquidity particular hear strong our the another get late we on closer to? of that for closer catalysts year, time things

Stephen Altemus

Yes.

a team Mission that together. I a is hopper, -- That our to which pulled which I X, together a window, IM-X, is prospecting thing drill, to deploy amazing essentially mission, mentioned launch meet get put on the is mission to think that for very the complicated our lander a -- rover. target February

success, -- on us that's as I heels comes essentially a interesting heavy you'll with in on also flying have the and that Nova-D, those of select South on also for So our delivery -- variant quarter, review that -- a delivery March we in mission up said. review us a track, things, in design in demonstration Pole LTV. the mission into March. And What's the first cargo see for and down NASA prospecting up that the to of that the lander the design cargo the really February entering mission X for the heavy for tees

start in awarded contract that the expect activities end of be the start to the year. by to May proposal We and --

the energy those putting be so towards to things are I'll into And ensure and success. looking

Andres Sheppard-Slinger

quick helpful. And Super Steve. follow-up, maybe just Wonderful. I I may. a if color, that appreciate

with on So believe, again, record. in the about which the you quarter ended liquidity, million highest $XX is I

of curious Just or thinking burn liquidity over that you months? next are how expectations XX the runway, for about cash cash kind

Stephen Altemus

cash sheet the capital Yes. going do the at balance year next opportunity to the We're position, to look opportunistically in that. We're for clearly a strong position liquidity should adding we at least. to have

contract awards position want to through the major to NSNS and might financing. a year. we're capital have potentially that on project some the But work take in next end secure now, right LTV we least of at these We in

Andres Sheppard-Slinger

mission forward the the QX. on to looking Congratulations and in next quarter

Operator

Sullivan Josh Benchmark And with our from comes Company. question next

Joshua Sullivan

Artemis? model What's given In in tempo goal the commercial just keep of lunar kind necessary questions the for resources right sight. now, your conversation you how mentioned around development Intuitive's broader the and that remarks, of capabilities the squarely can of

Stephen Altemus

is the to think the laid that was look shift urgency. I to get the Well, you at out humans is trying surface, the the way program if currently Artemis with and

to opportunities learned, surface. the needed are I engineer at and from of stay that that we've cadence the is our regular a systems packed for a least missions mission and learn long-term develop that first think with flying on

arriving. that to is of cadence support to astronauts the a so astronauts actually going required be And to engineer missions are systems the as the crucial regular as

sustained that will is I Artemis presence. And we the if comment my first is that's -- sure that redistribute theory the make delivered activities remarks. human and the infrastructure made infrastructure support my so in to the in program really to arrives And

South I be moon, And done drilling it things are of all flying so the first those need this as to flying Pole, that's good idea and talking what with that about systems, and doing kinds of Pole, and things the that's a we'll doing South to on again. the reliable get by we we're think over that build and at over and over to the of

so trying the of moon when systems the And I required that's to squarely comment there's kind United to moon of on. be regular opportunity I'm are complex on an the sites keep and the by for those. think this States in in humans safe, And cadence be are of the prepared the to missions. And ready pull that for we'll

Joshua Sullivan

then that just ShadowCam. over? you then assumption gain look commitment -- data like those financial the on taking And of reconnaissance the What lunar from the proprietary is And mentioned for Intuitive? in the side of you do any

Stephen Altemus

the for public, use scientists, for really they need data to NASA as source that's for to. open Well,

around up repository resources do surveyor have the on putting the own can data machine NASA be It's about an here infrastructure that. moon the database big are host folks. earth are up about and there give our so, the critical for us that analytics collected moon. kind petabytes But analytics, to and into $X advanced is and data. learning that can capability for And a provide what around it's that. data we think warehousing, the searched, of the on open infrastructure search When us and that tools managing gives that pays contract. we of to insight earth what's for build that AI Those on million on place in the that to moon, now we'll some greater will

Operator

Our next comes Capital. with ROTH from question Suji Desilva

Sujeeva De Silva

the are progress about we Yes, for those? frame think be should Congrats ahead And first what the infrastructure on steps happening? will that, Steve, deployment the time the here. looking what NSNS contract, to

Stephen Altemus

we're That's So the in first orbit for early 'XX Mission-X LRO, and when deployed thing or satellite. infrastructure That start it's it's for on go be first or once checked with will late of kind communicating NSNS the asset to 'XX. the contract scheduling -- to satellite, that stream. revenue forward surface piece the on be we'll look the able out service the operational with That's to. example, of

Sujeeva De Silva

for kind Okay. the the anticipating really preparing similar you. would What equipment for Great. Is launch of that And gets there question thing once then just for underway? prior for milestones milestones the program rover be to of first to or that? kind same success a the watch any

Stephen Altemus

not the the talking about the And the the if but phase -- that review So design of LTV, phase preliminary level. the system. a design first so you're completes through next includes only rover, also landing

have provide a of part to solution about referring that was as what that's a earlier landing system You Steve Nova-D mature PDR. to And effort.

with a surface CDR performance they flying NASA the of fly operational then qualification the next to on to the the we'll the improve and the through And take For it through design do then a and at that select next And surface. missions of of to to surface option contracts phase, one then surface of you can in do on which take for CDR, will validation time. But then a need mature phase contracts rover the moon. down That's development contract, award X actually moon. you then we full of CDR. before parallel, it would could and decide the it, the NASA the design checkout, take it initially decide it through

Operator

to now remarks. for CEO, Machines call would session. back Altemus, the This like to Steve I turn question-and-answer concludes any closing Intuitive our

Stephen Altemus

this Well, everyone, in dialing thanks, morning for to the call.

you moon, join forward us As the to the on and our you please South And months coming heard, to mission had quarter. next much. we very excellent look an Pole. in Thank

Operator

Thank This concludes conference for participating. you call. today's

You may now disconnect.

Intuitive Machines (LUNR) 14 Nov 242024 Q3 Earnings call transcript